Hope Bancorp, Inc. (NASDAQ:HOPE) shares rose nearly 5% in premarket trading on Monday after the bank holding company reported second-quarter revenue that exceeded Wall Street expectations while earnings matched analyst forecasts.
The results reflected higher lending activity, expanding margins and continued improvements in profitability.
Revenue beats forecasts as earnings meet expectations
Hope Bancorp posted adjusted earnings of $0.26 per share for the second quarter, in line with analysts’ consensus estimate.
Revenue came in at $147.82 million, ahead of the expected $146.49 million.
Net income increased to $33.0 million, up from $29.5 million in the first quarter and a sharp turnaround from a net loss of $24.8 million recorded in the second quarter of 2025. Revenue also climbed 10% year over year from $117.5 million.
Loan growth and wider margins support performance
Net interest income rose 4% from the previous quarter to $129.0 million, supported by continued loan growth and an improvement in net interest margin to 2.96%, an increase of six basis points from the first quarter.
The cost of interest-bearing deposits eased to 3.31%, compared with 3.37% in the previous quarter, helping improve overall profitability.
“Overall, we delivered strong quarterly results and are pleased with the continued progress made to improve the profitability and core operating performance of the Bank,” said Kevin S. Kim, Chairman, President and Chief Executive Officer.
“Second quarter 2026 earnings growth reflected a combination of revenue growth and positive operating leverage, driven by loan growth, net interest margin expansion, lower funding costs, increased fee income and expense discipline.”
Credit quality remains stable
Gross loans totaled $15.03 billion as of June 30, 2026, representing a 2% increase from the prior quarter and a 4% gain from a year earlier.
Total deposits increased 1% sequentially to $15.88 billion.
Hope Bancorp recorded a provision for credit losses of $6.8 million during the quarter, down from $8.7 million in the first quarter, reflecting lower net charge-offs of $9.0 million, or 0.24% of average loans.
Hope Bancorp stock price
